jump to navigation

What are you going to do about it? January 13, 2016

Posted by hslu in Congress, Economics, Global Affair, Obama, US Government.
Tags: , ,
add a comment

I knew that a long time ago.

image

I knew the Great Recession was caused primarily by the Wall Street but it had many willing and incompetent players:

1.   The U.S. Government
2.   The U.S. Congress
3.   The Federal Reserve Banks
4.   Government-sponsored enterprises
5.   The rating companies
6.   Insurance companies
7.   Greedy bankers
8.   Greedy speculators
9.   Greedy consumers

So, Obama, talk is cheap. Will your Justice Department prosecute any people, not company, who were responsible for the Great Recession and the lost 7 years?

The World should hold America accountable September 3, 2015

Posted by hslu in China, Cold War, Congress, Debt and deficit, Economics, Euro, Global Affair, Politics.
Tags: , , ,
add a comment

Jack Lew talked about holding China accountable for renminbi during a CNBC interview with Steve Liesman. He should first talk to Japan’s Abe about Japanese yen because yen has depreciated more than 50% from its high just a few years ago.

What a hypocrite.

Source: CNBC

Source: CNBC

I say that the world should hold America government, Federal Reserve, U.S. Congress, U.S. Treasury Department, American rating agencies and Wall Street too-big-to-fail banks accountable for the mess they have created after the implosion of the sub-prime mortgage crisis.

The damages to the world were too numerous to mention: Great recession; Euro crisis; PIGSS bailout; QEs; mounting national debts and millions upon millions of people losing their jobs all over the world.

Did America pay for this financial crimes? No.

Did any American Congressman or Senator pay for this financial crime they helped created via Fannie and Freddie? No.

Did any of the big banks CEOs pay for this financial crimes? No.

Did any of the American agencies pay for this financial crime? No.

Did any person in American government pay for this financial crime? No.

Jack Lew, hold your government and your Wall Street buddies accountable for this financial crime first before talking about holding other country accountable.

The world order created by America will soon disappear under the feet of the United States. It is not if but when.

Here is what I have to say to Jack Lew: 財大氣粗。

U.S. standing in the world is falling fast December 5, 2013

Posted by hslu in China, Economics, Global Affair, Islam, Military, Muslim, Obama, Politics.
Tags: , , , , , , , , , , , ,
add a comment

The survey said it all (chart below from Pew Research.) It is sad to watch but it was inevitable. The US empire is heading into sunset with Obama leading the charge. The process will be slow and Chinese has a saying for it too: ”百足之虫,死而不僵.“

Source: Pew Research, December 3, 2013

Source: Pew Research Center, December 3, 2013

For almost seven decades since the end of WWII, the US has used two powerful weapons very effectively to bring other countries in line: US dollar and its military. it is still true but they have been less effective to say the least.

Don’t get me wrong, the United States still has a lot of money not because the US is the largest creditor in the world but because the US dollar is world’s reserve currency. Here the landscape is slowly changing and the US isn’t doing anything about it, yet: the US owes a lot of money to other countries and is running a trillion dollar or so deficit every year. Its $17 trillion dollar federal debt, unfunded liabilities and other government debts will break American tax payers’ back soon. In short, the US is broke and is fast running out of money to give it away.

The bigger problem is that the US dollar’s reserve currency status has been challenged by IMF and many other countries who don’t want to hold a currency with declining value. The push to move away from the US dollar as the world reserve currency is accelerating with IMF readies its Special Drawing Right (SDR) or some other form of currency to take place of the US dollar. Something will happen within the next decade and when it happens, the glory days of the US empire are numbered. it will be ugly. And whoever had assests in US dollar better be prepared for its demise.

America still has the most powerful and advanced weapons in the world. No other countries has any hope of over taking US’s leadership position any time soon. However, the lead is shrinking with Al Qaeda and related organizations regrouping in many parts of the world and China slowly building up its navy and air force in recent years. Many other countries, India, Pakistan, North Korea, etc. have their own nuclear arsenals too. Besides, where will the US going to come up with money to keep its lead in the never ending arm race? With more debt of course. But it can’t be sustained in the long run. Remember, America is broke.

America’s foreign policy is a mess.

Hillary didn’t do a lot other than taking expensive trips all over the world making speeches. Nothing of any significant consequence got done under her.

Obama drew a “red line” in the sand and warned Syria of grave consequence if it dared to cross it. Well, for a couple of years, Bashar al-Assad did it time and time again. Obama kept warning Assad but did nothing to stop him. Finally, Putin, among all foreign country leaders, came to the rescue and gave Obama a black eye for all Arab countries to see. Obama messed up on Arab Spring and didn’t know whom to back in Egypt and couldn’t even decide whether overthrowing its first elected president, president Morsi, by the military was a coup or not. Yet, foreign aid in the form of fighter jets and other weapons continued to flow to Egyptian military as we speak. The whole episode was simply comical.

Obama also projected an image of profound weakness in Benghazi where four Americans, including American Ambassador to Libya, were killed on September 11, 2012. There was talk of a video, justice for the dead, retaliation and finally a cover-up by the Obama administration, but nothing has happened either. It was all speeches and no action.

Then there was Snowden, the hijack and grounding of Bolivia president’s private airplane, the uproar against America throughout Latin America, Snowden’s one-year asylum in Russia thanks to Putin and the fall out from NSA’s monitoring of American citizens, world leaders and many other’s emails, social media activities and phone conversations. The worst of them all was the self-appointed human rights’ guardian, America, was totally exposed for its brazen disregard of other’s people’s privacy and human dignity. China has something for this too: 挂羊头卖狗肉。It is also called: 了无羞耻。The world now knows what America really is: a hypocrite. But it was a hypocrite with all kinds of weapons in its hands. 

Of course, we can’t ignore Iraq, Afghanistan and Iran. So many American soldiers died for Iraq but the US was chased out of Iraq. Iraqis simply didn’t want America in their country. Obama nonetheless learned his lesson from the failure in Iraq and is trying to keep some US soldiers in Afghanistan enticed with more US foreign aids. The decision was to come at the end of the year but Harmid Karzai wanted to delay it. 

Then there was Iran.

Kerry got Iran to talk and agree to curb its atomic activities in exchange for less sanctions. Yet, not much has changed because Iran insisted on continuing its uranium enrichment operation. Well, Iran certainly bought more time to work on a nuclear weapon and at the same time got the sanction monkey off its back. Kerry and Obama did well too: they took credit for contribute to peace in Middle East until one day Iran shows up with a nuclear weapon just like North Korea did under Clinton with the help of the worst American president in recent history: Carter. History probably will repeat itself and a war may be in the works. Well, what’s ironic with this whole thing was that many Democrats in Obama’s own party oppose the deal with Iran. We’ll just have to wait and see here.

And let’s not forget Israel since we are talking about Iran here. Contrary to all previous US presidents who have backed Israel in the past, Obama chose to isolate and humiliate Israel; I guessed, as a goodwill gesture to Arabs and Middle East countries. He definitely succeed in putting Israel in a precarious position and has truly demonstrated that he desperately wanted to be treated as a Muslim by other Arabs.

It appears that the US has very fewer friend in the world. Arabs don’t like the US other than its money and weapons. NSA has monitored Merkel’s cell phone for many years and Obama lied when he told her that he knew nothing about it. I don’t think Germans believed anything Obama said.Many European countries hate America because the Great Recession engineered by US Federal Reserve Bank, Wall Street, large US banks and many other financial institutions. The United States is solely responsible for the miseries many Europeans are facing now: 25% unemployment rate, five years recession in some countries, huge reduction is people’s living standards and massive destruction of people’s wealth, just to name a few.

Well, then there is Japan.

Japan is on the top of the list because the US is spending billions and billions of our tax dollars to defend the island country. Japan has to listen to the US because it has few military options. All Japanese leaders can do is to visit the Yasukuni Shrine which honors Japan’s war dead, including convicted war criminals and mass murderers from World War II. The US has to spend its own money to defend Japan because America bombed Japan with two atomic bombs during WWII. After achieving phenomenon economic growth in the 1980’s, Japan is currently in such a sorry state (The Lost decade,) primarily because of Plaza Accord engineered by America. Ever since that historical and unprecedented event in NYC, Japan took 20 years to sink its country into a debt hole so deep that it has no way to dig itself out of. For that, a generation of Japanese people have no one but America to thank for. What puzzles me was that Japan still call America a friend. Having a friend like this who was responsible for its demise for the past 20+ years, Japan doesn’t need an enemy at all.

Tension has been high in Eastern Pacific recently. The big question is this: Will US send its soldiers to fight for Japan over a few islands in the Pacific Ocean? Japan certainly likes that idea but I don’t think Americans are ready for another war after Iraq and Afghanistan. Besides, the US has almost ran out of money and time until the world decides to dump US dollar and go for something else. 

If that happens, anyone who holds American dollar will become poorer probably overnight and the once mighty empire will forever lose its glory.

Even though the show has just started, we already knew what the ending will look like.

History will repeat itself and we all knew it too well: Rome, Portugal, Spain, France and Great Britain.

The next one will be the United States.

 

A, B and C? January 18, 2011

Posted by hslu in China, Cold War, Economics, Global Affair, jobs, Politics.
Tags: , , , , , , , , , , , ,
add a comment

Remember what I said about AB and C?

A is Airbus.

B of course is Boeing.

And C of course is China’s C919’s built by Commercial Aircraft Corporation of China.

C919 is a single-aisle airplane for mid-range flights. It is designed to carry about 200 passengers.

Watch out, Airbus and Boeing. This market is yours to lose.

One industry at a time, China will eat American’s lunch.

http://www.nytimes.com/2011/01/18/business/global/18plane.html?_r=1&emc=tnt&tntemail1=y

As President Hu begin his visit to the US, many companies want to do business with China because that’s where the money is.

Free market capitalism is what US has been promoting all over the world for the past 3 or 4 decades. If the US is not careful, this premier industry will face significant competition just like the auto industriy have been facing for the past 30 years. GM, Chrysler and Ford were thoroughly defeated bhttps://hslu.wordpress.com/wp-admin/post.php?post=4745&action=edit&message=6y auto companies from Japan and Korea. Although these companies have been able to survive the Great Recession so far with government intervention, India’s Toto and China’s auto companies are waiting to enter the US market when the time is right.

Twenty or thirty years from now, where will Boeing be? Will Boeing’s labor union be the last straw that breaks the camel’s back?

Obama and Democrats responsible for high unemployment rate July 2, 2010

Posted by hslu in Economics, Global Affair, Obama, Politics.
Tags: , , ,
add a comment

The latest data showed that only 48% of the Obama stimulus money has been spent. Earlier, a CBO report showed that most of the approximately $355 billion in proposed discretionary spending on highways, renewable energy and other initiatives in Obama’s stimulus program wouldn’t be spent before 2011: $26 billion in 2009 and $110 billion in 2010.

It appeared that the US economy has came out of the “Great Recession” in 2009 but the economy grew at only 3.7% during the first three quarters after the Great Recession.” And the quarter just past saw a anemic growth rate of 2.7%.

For a side-by-side comparison, in the past recoveries, the U.S. economy came out of the recession with explosive GDP growth: 8.3% in 1954, 9.2% in 1958, 7.6% in 1961, 5.7% in 1970, 5.1% in 1975, 7.5% in 1982.

But the real questions are:

  • Why they let the U.S.economy run to the ground for so long while  keeping the stimulus money in the vault? Didn’t Obama said that the stimulus money will generate millions of jobs and keep the unemployment rate low?
  • Is it because 2011 is a year before the Presidential election in 2012?
  • Is it because the Democrats in congress and Obama wanted to stimulate the economy in 2011 and 2012 so that they’ll have a better chance to get re-elected?

The current malaise in the economy is the primary reason why the economy only generated a meager 83,000 jobs. The June unemployment rate fell to 9.5% from May’s 9.7% because more than 650,000 people gave up looking for jobs. For whatever reason people no longer looking for jobs do not count in the calculation of the unemployment rate. In realty, the unemployment rate is higher than the reported fir sure.

I of course do not have the answers to these questions but I think that Obama and the Democrats are responsible for the high unemployment rate now, period.

%d bloggers like this: